Chart EUR/CHF Update: Potential for a minor bounce
Consolidation following the spike lower to 0.9130 is giving way to a drift higher
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 0.9350 | * | break level | S1 | 0.9150 | * | break level | |
| R3 | 0.9300 | ** | congestion | S2 | 0.9130 | 3 Nov low | ||
| R2 | 0.9250 | ** | congestion | S3 | 0.9100 | ** | congestion, 76.4% ret | |
| R1 | 0.9200 | ** | congestion | S4 | 0.9050 | ** | break level |
Asterisk denotes strength of level
10:55 GMT - Consolidation following the spike lower to 0.9130 is giving way to a drift higher, as intraday studies improve, with prices currently pressuring congestion resistance at 0.9200. Daily readings are showing signs of improvement, suggesting potential for a test above here. But negative weekly charts should limit scope in renewed selling interest/range extension beneath further congestion around 0.9250.
Meanwhile, support remains at 0.9150. A close beneath here, if seen, will add weight to sentiment and open up strong support at 0.9100. However, flat oversold weekly stochastics should limit any initial tests in short-covering/consolidation.